Multi-Residential Financing in Chatham-Kent, ON

multi-residential financing in Chatham-Kent prices off the Government of Canada 5-year benchmark bond yield plus a 160 bps multi-residential financing spread, landing at 4.75% indicative. Conventional apartment debt for owners outside insured programs. On the $2,300,000 average Chatham-Kent transaction, a 75% advance is $1,725,000, carrying $107,981 of annual debt service on a 30-year amortization and a 5-year term.

Leverage binds before coverage here. The wide 7.0% cap rate produces roughly $161,000 of NOI, enough for $2,143,317 at a 1.20x floor — about $418,317 above what the 75% LTV cap will advance. The deal is sized by value, so the appraisal, not the rent roll, is the document to get right first.

Chatham-Kent scores 100 on the Capitalor Lender Density Score — a deep market, with 12 tracked lenders and brokers against 2,800 commercial buildings. Expect competitive tension on well-covenanted paper: quote at least three lenders before accepting a spread.

Stress the file before a lender does. Holding the $1,725,000 loan constant, coverage falls to the 1.20x floor at roughly 6.74% — 1.99% of headroom above today's indicative rate. That headroom, not the headline rate, is what determines whether this Chatham-Kent deal survives renewal.